Housing problems in Australia, two.

WELCOME TO BRISBANE AFFORDABLE RENTALS, YOU ARE INVITED. In this blog, we will discuss rental problems that we may incounter when renting, and the problems of running affordable rentals. We will also discuss, what the government can do to help the renters pay their rent, and the property owners run a better service to the renting community. 

Anyhow, we believe that the government Social Security System, can help both the people that are renting and the property owners. They should give more rent assistance to peple on low income that are renting, and they should abollish or modify the assets test on active rental properties, if they want the rental market stand on its own, so, to speak. For this reason, we are writing several articles, where we will talk about the rental problems and the Social Security System. 

This blog can be found at this link, http://affordablerentals.blogspot.com/))

And here are other links to our internet articles

http://menfranco-re.blogspot.com/, http://manneedsgod.blogspot.com,  http://menfranco.blogspot.com, 

http://ifyoubelieveingod.blogspot.com/, http://genzanoit.blogspot.com/, 

https://sites.google.com/site/prayersofreconciliation/,https://sites.google.com/site/menfrancoreconciliation/

This article can also be found at this link, Australia Housing Problems, Two. 

In Australia you can rent a house that you can afford. 

In Australia there are many types of housing for rent, but today there seems to be a shortage, so, it is not easy to find a house for rent. I believe that the reason of the shortage is there, because there is something wrong with the present government laws and the levies that they charge the landlords, and other anomalies, and this is what we are talking about here. 

Housing rental problems in Australia, two. 

Welcome to our article Australia Housing Problems, Two.

Dear readers, as I have said before, I want to inform you that I have followed the rental market for a long time, and I have written several articles about it, pointing out what I think can help to solve the problem. I have done that, hoping that someone in power takes notes of what I am saying, and does something about it, but so far nothing has happened. Anyhow, I believe that the main problem is that the Australian Social Security System must be equal for everyone, but it discriminates against the small investors away, to fix it they can start by abolishing the ASSETS TEST that keeps off the small investors that could have a property for rent. Anyhow, I will continue to write more rental articles, hoping that something positive happens, so, let me go on writing.   

Today I want to point out that one of the reasons why rents are high, it is because any type of housing costs a lot to build, therefore, when they are new, they cost a lot. But what about the older houses. Here I must say that existing houses and units cost a lot more than they should, perhaps the real estate agents are trying too hard to push the price up, and one day the prices may come down, or they may stop going up for a few years. So, those buyers that want to buy at all costs, better beware, because this can be coming sooner than you think.  

Anyhow, there are not enough houses being bult, and I wonder why they cannot be built and sold any cheaper. In the past whenever there was a shortage and the price of housing went up, they soon built more houses, and the price would return to normal. But today this is not happening, some people say that there are not enough tradesmen to build new houses, and not enough young people that want to be tradies and work on buildings. Anyhow, this is only one of the reasons, because there are many other reasons, why there are not enough rental properties on the market.

I believe that the reason why there are not enough properties, it is because the mum and dads, that are the greatest number of small investors, have been placed in a disadvantaged position and losing money, and at the same time they are being discriminated, as if it is their fault. When it is the fault of the government authorities that charge high levies, on affordable rental properties. Anyhow, once these small investors realize that they are overcharged and discriminated, they will stop investing in rental properties, and they might even sell them, because they are losing money. And this is another reason why there are not enough rental properties.

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Which charges and by-laws affect the rental market most.  

So, let us talk about which charges and by laws affect the rental market most in a negative way; and that is the reason why, it is not easy to fix, unless these laws are modified. I believe that there are at least two things that must be changed, for the rental market to be able to go back to normal, and this must be done soon. One is the assets test, and the other thing that hurts most is the land tax, that give the landlords nothing at all, but charge lots of money, just because you own a property, most of these properties are rental properties, therefore, the owners must charge more rent to pay for the lant tax.

Anyhow, we are continuing to study the Australian rental situation, but it is becoming clear that the rental market cannot go back to normal, because of these laws that charge lots of money, and put pressure on the landlords, who cannot do anything except charge more rent to pay for those levies.

So, this rental problem cannot be solved, unless the present governments change these negative laws, and makes the rental market cheaper to run, and it needs also to change or abolish the ASSETS TEST on affordable rental properties. So that those people that are on the rental market, like the pensioners, the disabled people, the jobseekers, and other people that during their lives need government help. When they apply for help, they cannot have it, because the assets test disqualifies them, even when they cannot earn money, from their rental properties. So, they may be forced to sell, and another rental property disappears from the rental market.

Now, I know that you start hating me, because you think that it is not possible that people that own properties need government help, but they do. You see the small investors, that have only a property for rent and no other income or funds, they need the government pension to survive, and this can be a real problem, because of the assets test, that discriminates against the property owners.  

Anyhow, to understand what I am saying, you must imagine what is really happening in the rental market, because there is not enough money left, after the owner pays the levies on that property, and they may earn only one or two per cent of the value of the property, and most of them may decide to sell the property. So, we can say that this is the reasons, why today there are less properties for rent.

You see, the ASSETS TEST, is set in a way that pretends that the owners can earn about 8% of the property value, when in most case they earn only 2% of the property value. So, if they want more rental properties on the market, the government must abolish the ASSETS TEST on affordable rental properties.

Here I know that most of you are not convinced about this, so, I need to write a few examples, and step by step explain how I have reached this conclusion, but this blog is becoming too long. So, I will write another blog or two if necessary to explain what I am saying. Meanwhile remember that the government Social Security System must be equal for everybody, but it is not equal. And it creates problems that must be fixed to run smoothly. See you in our next article, Housing Problems causes in Australia.

To see more click on this link,  Australia Housing Problems, Two.

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